HKTB Extends Hong Kong Neighbourhoods to Launch West Kowloon for Promoting Art and Culture Tourism of the Neighbourhood
                            Zurich, Switzerland:
                         <p style="margin: 0px 0px 1.5em; font-size: 16px; color: rgb(68, 68, 68); font-family: "Helvetica Neue", Helvetica, Arial, "Lucida Grande", sans-serif;">Strong demand, supply chain constraints impacting revenues</p>

Orders $7.9 billion, +29%; comparable1 +26%
Revenues $7.0 billion, +7%; comparable +4%
Income from operations $852 million; margin 12.1%
Operational EBITA1 $1,062 million; margin1 15.1%
Basic EPS $0.33; -85%2
Cash flow from operating activities was $1,104 million and from operating activities in continuing operations it was $1,119 million

AD HOC ANNOUNCEMENT PURSUANT TO ART. 53 LISTING RULES OF SIX SWISS EXCHANGE

 

ABB (SWX:ABBN):

 

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20211020006194/en/

 

        <p class="bwcellpmargin">KEY FIGURES</p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin"> </p>


        <p class="bwcellpmargin"> </p>

         

        <p class="bwcellpmargin"> </p>

         

        <p class="bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin">CHANGE</p>

         

        <p class="bwcellpmargin"> </p>

         

        <p class="bwcellpmargin"> </p>

         

        <p class="bwalignc bwcellpmargin">CHANGE</p>


        <p class="bwcellpmargin">($ millions, unless otherwise indicated)</p>

         

        <p class="bwalignr bwcellpmargin">Q3 2021</p>

         

        <p class="bwalignr bwcellpmargin">Q3 2020</p>

         

        <p class="bwalignr bwcellpmargin">US$</p>

         

        <p class="bwalignr bwcellpmargin">Comparable1</p>

         

        <p class="bwalignr bwcellpmargin">9M 2021</p>

         

        <p class="bwalignr bwcellpmargin">9M 2020</p>

         

        <p class="bwalignr bwcellpmargin">US$</p>

         

        <p class="bwalignr bwcellpmargin">Comparable1</p>


        <p class="bwcellpmargin">Orders</p>

         

        <p class="bwalignr bwcellpmargin">7,866</p>

         

        <p class="bwalignr bwcellpmargin">6,109</p>

         

        <p class="bwalignr bwcellpmargin">29%</p>

         

        <p class="bwalignr bwcellpmargin">26%</p>

         

        <p class="bwalignr bwcellpmargin">23,611</p>

         

        <p class="bwalignr bwcellpmargin">19,509</p>

         

        <p class="bwalignr bwcellpmargin">21%</p>

         

        <p class="bwalignr bwcellpmargin">16%</p>


        <p class="bwcellpmargin">Revenues</p>

         

        <p class="bwalignr bwcellpmargin">7,028</p>

         

        <p class="bwalignr bwcellpmargin">6,582</p>

         

        <p class="bwalignr bwcellpmargin">7%</p>

         

        <p class="bwalignr bwcellpmargin">4%</p>

         

        <p class="bwalignr bwcellpmargin">21,378</p>

         

        <p class="bwalignr bwcellpmargin">18,952</p>

         

        <p class="bwalignr bwcellpmargin">13%</p>

         

        <p class="bwalignr bwcellpmargin">8%</p>


        <p class="bwcellpmargin">Gross Profit</p>

         

        <p class="bwalignr bwcellpmargin">2,294</p>

         

        <p class="bwalignr bwcellpmargin">1,834</p>

         

        <p class="bwalignr bwcellpmargin">25%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">7,070</p>

         

        <p class="bwalignr bwcellpmargin">5,731</p>

         

        <p class="bwalignr bwcellpmargin">23%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">as % of revenues</p>

         

        <p class="bwalignr bwcellpmargin">32.6%</p>

         

        <p class="bwalignr bwcellpmargin">27.9%</p>

         

        <p class="bwalignr bwcellpmargin">+4.7 pts</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">33.1%</p>

         

        <p class="bwalignr bwcellpmargin">30.2%</p>

         

        <p class="bwalignr bwcellpmargin">+2.9 pts</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Income from operations</p>

         

        <p class="bwalignr bwcellpmargin">852</p>

         

        <p class="bwalignr bwcellpmargin">71</p>

         

        <p class="bwalignr bwcellpmargin">n.a.</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">2,743</p>

         

        <p class="bwalignr bwcellpmargin">1,015</p>

         

        <p class="bwalignr bwcellpmargin">170%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Operational EBITA1</p>

         

        <p class="bwalignr bwcellpmargin">1,062</p>

         

        <p class="bwalignr bwcellpmargin">787</p>

         

        <p class="bwalignr bwcellpmargin">35%</p>

         

        <p class="bwalignr bwcellpmargin">32% 3</p>

         

        <p class="bwalignr bwcellpmargin">3,134</p>

         

        <p class="bwalignr bwcellpmargin">2,074</p>

         

        <p class="bwalignr bwcellpmargin">51%</p>

         

        <p class="bwalignr bwcellpmargin">43% 3</p>


        <p class="bwcellpmargin">as % of operational revenues1</p>

         

        <p class="bwalignr bwcellpmargin">15.1%</p>

         

        <p class="bwalignr bwcellpmargin">12.0%</p>

         

        <p class="bwalignr bwcellpmargin">+3.1 pts</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">14.6%</p>

         

        <p class="bwalignr bwcellpmargin">10.9%</p>

         

        <p class="bwalignr bwcellpmargin">+3.7 pts</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Income (loss) from continuing operations, net of tax</p>

         

        <p class="bwalignr bwcellpmargin">687</p>

         

        <p class="bwalignr bwcellpmargin">(503)</p>

         

        <p class="bwalignr bwcellpmargin">n.a.</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">2,027</p>

         

        <p class="bwalignr bwcellpmargin">218</p>

         

        <p class="bwalignr bwcellpmargin">830%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Net income attributable to ABB</p>

         

        <p class="bwalignr bwcellpmargin">652</p>

         

        <p class="bwalignr bwcellpmargin">4,530</p>

         

        <p class="bwalignr bwcellpmargin">-86%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">1,906</p>

         

        <p class="bwalignr bwcellpmargin">5,225</p>

         

        <p class="bwalignr bwcellpmargin">-64%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Basic earnings per share ($)</p>

         

        <p class="bwalignr bwcellpmargin">0.33</p>

         

        <p class="bwalignr bwcellpmargin">2.14</p>

         

        <p class="bwalignr bwcellpmargin">-85%2</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">0.95</p>

         

        <p class="bwalignr bwcellpmargin">2.45</p>

         

        <p class="bwalignr bwcellpmargin">-61%2</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Cash flow from operating activities4</p>

         

        <p class="bwalignr bwcellpmargin">1,104</p>

         

        <p class="bwalignr bwcellpmargin">408</p>

         

        <p class="bwalignr bwcellpmargin">171%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">2,310</p>

         

        <p class="bwalignr bwcellpmargin">511</p>

         

        <p class="bwalignr bwcellpmargin">352%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>


        <p class="bwcellpmargin">Cash flow from operating activities in continuing operations</p>

         

        <p class="bwalignr bwcellpmargin">1,119</p>

         

        <p class="bwalignr bwcellpmargin">398</p>

         

        <p class="bwalignr bwcellpmargin">181%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

         

        <p class="bwalignr bwcellpmargin">2,305</p>

         

        <p class="bwalignr bwcellpmargin">650</p>

         

        <p class="bwalignr bwcellpmargin">255%</p>

         

        <p class="bwalignr bwcellpmargin"> </p>

    <p xmlns="http://www.w3.org/1999/xhtml" class="bwalignc">“In the face of a difficult supply chain environment, I am pleased that we achieved a good margin this quarter. Our cash generation was very strong, leaving ample headroom on our balance sheet to support both organic growth and acquisitions as well as rewarding shareholders.”</p>

 

Björn Rosengren, CEO

 

CEO summary

 

Q3 painted a mixed picture, containing on one hand a high level of demand driving strong order growth, while on the other hand the tight supply chain impacted our revenues more than anticipated. Still, we improved both the underlying operational earnings and margin, delivered strong cash flows, made progress with portfolio adjustments, as well as delivered some important product launches.

 

Orders increased by 29% (26% comparable), year-on-year. We make conscious efforts to screen that orders we accept are backed up by real demand, but in the current environment of a strained supply chain it is only fair to assume it includes a certain element of customers putting through safety-orders to secure future deliveries. All business areas contributed with double-digit growth rates and all segments and regions noted positive developments. In sequential terms, the underlying customer activity increased somewhat in the Americas, declined in Europe and remained stable in China.

 

Revenues were hampered by supply chain constraints delaying customer deliveries. This was primarily related to semiconductors and imbalances in the overall supply chain, with the impact most tangible in Electrification and Robotics & Discrete Automation. Revenues increased by 7% (4% comparable).

 

Operational EBITA increased by 35% year-on-year, and margin expanded by 310 basis points, to 15.1%. This improvement however benefited from the adverse temporary items in last year’s results, good development in most business areas and unusually low corporate costs in the current quarter.

 

I am pleased we delivered another quarter with strong cash flow, which more than doubled from last year to USD 1.1 billion. Our balance sheet is strong with a net debt/EBITDA ratio of 0.5.

 

In line with our active portfolio management strategy, we announced both a divestment and an acquisition in the period. We agreed to divest the Mechanical Power Transmission division (Dodge) for $2.9 billion in cash and we expect completion of the deal before the end of this year. Robotics and Discrete Automation acquired ASTI Mobile Robotics Group (ASTI), a leading global autonomous mobile robot (AMR) manufacturer. This deal will support us in capturing the potential in areas such as logistics and warehouse automation. We are also making good progress with the other portfolio activities.

 

I was pleased to see the E-mobility business launch the Terra 360, the world’s fastest electric car charger. It is the only charger in the market designed to simultaneously charge up to four vehicles with dynamic power distribution. It has a maximum output of 360 kW and is capable of fully charging any electric car in 15 minutes or less. This will further cement our leading position in the EV-charging space.

 

On a similar topic but with focus on the mining industry, Process Automation launched the ABB Ability™ eMine comprising a portfolio of technologies facilitating the all-electric mine, including monitoring and optimizing energy usage. From 2022, it will also include ABB Ability™ eMine FastCharge which provides high-power electric charging for haul trucks. It also incorporates the ABB Ability™ eMine Trolley System which can reduce diesel consumption by up to 90%.

 

We were also acknowledged for our sustainability efforts as we once again were included in the FTSE4Good Index Series with an overall score of 4.2 on a scale from 0 to 5 (5 is the best score). We are ranked among the best performers in the index globally and above sector average.

 

Björn Rosengren

 

CEO

 

Outlook

 

In the fourth quarter of 2021, ABB anticipates a continued tight supply chain to impact customer deliveries. Comparable revenue growth is estimated to be broadly similar to the third quarter.

 

In line with recent historical pattern, the Operational EBITA margin in the fourth quarter is expected to decline, sequentially.

 

ABB anticipates comparable revenue growth of 6%-8% (update from just below 10%) for full-year 2021, hampered by supply constraints towards the end of the year.

 

In 2021, ABB expects a strong pace of improvement from 2020 toward the 2023 operational EBITA margin target of the upper half of the 13%-16% range.

 

The complete press release including the appendices is available at www.abb.com/news.

 

ABB (ABBN: SIX Swiss Ex) is a leading global technology company that energizes the transformation of society and industry to achieve a more productive, sustainable future. By connecting software to its electrification, robotics, automation and motion portfolio, ABB pushes the boundaries of technology to drive performance to new levels. With a history of excellence stretching back more than 130 years, ABB’s success is driven by about 105,000 talented employees in over 100 countries.

 

 
 

        <p class="bwcellpmargin">1 For a reconciliation of non-GAAP measures, see “supplemental reconciliations and definitions” in the attached Q3 2021 Financial Information.</p>

     
         

        <p class="bwcellpmargin">2 EPS growth rates are computed using unrounded amounts.</p>

     
         

        <p class="bwcellpmargin">3 Constant currency (not adjusted for portfolio changes).</p>

     
         

        <p class="bwcellpmargin">4 Amount represents total for both continuing and discontinued operations.</p>

    <p> </p>

 

 

Disclaimer:
This Press Release has not been vetted or endorsed by The Eastern Herald’s editorial staff.
Follow us on:
Business Wire India
The Business Wire India news distribution platform ensures that your news is disseminated instantaneously through key information systems.